Kite Company sells magazine subscriptions of one to three-year periods. Cash receipts from subscribers are credited magazine subscriptions collected in advance, and this account had a balance of P2,400,000 at December 31, 2002 before year-end adjustment. Outstanding subscriptions at December 31, 2002 expire as follows: During 2003 600,000 During 2004 900,000 During 2005 400,000 What amount should Kite report as magazine subscriptions revenue for the year ended December 31,2002?
Kite Company sells magazine subscriptions of one to three-year periods. Cash receipts from subscribers are credited magazine subscriptions collected in advance, and this account had a balance of P2,400,000 at December 31, 2002 before year-end adjustment. Outstanding subscriptions at December 31, 2002 expire as follows: During 2003 600,000 During 2004 900,000 During 2005 400,000 What amount should Kite report as magazine subscriptions revenue for the year ended December 31,2002?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Kite Company sells magazine subscriptions of one to three-year periods. Cash receipts from
subscribers are credited magazine subscriptions collected in advance, and this account had
a balance of P2,400,000 at December 31, 2002 before year-end adjustment. Outstanding
subscriptions at December 31, 2002 expire as follows:
During 2003 600,000
During 2004 900,000
During 2005 400,000
What amount should Kite report as magazine subscriptions revenue for the year ended December 31,2002?
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